The seizure of frozen Russian assets in Belgium would cause a “terrible systemic shock” capable of destabilizing the euro, Belgian Foreign Minister Maxim Prevo warned today.
Such a situation could cause “horrible systemic shock to all European stock markets, hit the euro credibility very harshly,” Prevos said in an interview with the French Agency.
The seizure of the assets of the Russian Central Bank – which are 210 billion in Belgium, under the control of the EUROCLEAR Economic Institute – is requested by many EU member states, mainly by the Baltic. These countries argue that this money could finance EU support in Ukraine at no cost for European taxpayers, while some other countries, over -indebted, are trying to save resources. This proposal is disagreeing with Germany, France and the European Central Bank, as they fear that it will lead to the flight of capital and destabilization of the euro.
According to Maxim Prevo, there would be the risk of third countries that have placed billions in Europe to withdraw them by saying “if it is so simple to seize these assets tomorrow (…) then we will place them somewhere else”.
The “27” have decided, to help Ukraine, use not the capital but only the interest of Russian assets, which amount to many billions of euros annually.
The European Commission should present its proposals on the issue by the end of October. “We will wait to see what will be proposed,” Prevos commented.
Source :Skai
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